EMV Chip

What is EMV Chip?

An EMV chip is a small microprocessor embedded in a payment card that stores and protects cardholder data. EMV stands for Europay, Mastercard, and Visa, the three companies that originally developed the standard.

Unlike magnetic stripes, which store static data that can be easily copied, EMV chips create a unique transaction code for every purchase. This makes it nearly impossible for fraudsters to create counterfeit cards.

Why It Matters

• Drastically reduces the incidence of card-present fraud and counterfeiting

• Provides a global standard for secure physical card transactions

• Shifts the liability for fraud to the party with the least secure technology

• Enables secure contactless payments through the same underlying technology